1. ACME Mfg sells one product and has the following data:

Selling Price = $60/unit

Variable manufacturuing cost = $33/unit

Fixed manufacturing costs = $210,650 per month

Variable selling and manufacturing costs = $9/unit

Fixed selling and manufacturing costs = $172,750 per month

What dollar sales volume does ACME need to achieve a $80,000 operating profit per month?

2. Acme produces and sells two products: a large hat and a small hat. For every large hat they sell, they sell 2 small hats. Fixed costs for Acme are $13,400. A large hat sells for $50 and a small hat sells for $20. Variable costs for the large hat are $30 per hat and $10 for the small hat. What is the number of small hats that ACME sells at breakeven point?